The report, published by Lee & Associates – Irvine Inc., records January's net absorption as negative 31,531 sf. This figure reflects a significant improvement from December, when net absorption for the South Orange County industrial market stood at negative 676,290 sf. Even as far back as August, net absorption for the region was recorded at negative 359,607 sf, according to the Lee & Associates research.

Although January saw the addition of nearly 250,000 sf of new construction added to the inventory, the report does point out that there are very few projects currently under construction.

As negative net absorption seems to be easing up somewhat, availability rates for industrial product are holding steady. According to the Lee & Associates report, "the largest fluctuation was seen in the distribution sector where the availability rate decreased by over 2% from 23.55% last month to 21.45% today."